Bitcoin Blockchain is Being Examined by R3’s Tim Swanson

For example, turning a bearer asset into a registered asset as explored by Nasdaq and others is nullifying the primary utility of Bitcoin: censorship-resistance.
The report goes on to mention the regulatory requirements of issuing, tracking and transferring virtual representations of off-chain assets.
“In practice, the censorship-resistant aspect of “Blockchain 2.0″ is impractical as a solution for financial settlements in cash, securities and other off-chain property titles.”
Openchain solves the same problems as watermarking protocols, but with a much lighter use of the Bitcoin Blockchain.
“This research blatantly disregards the fact that few dozen Bitcoin companies are using OP_RETURN today and the volume of transactions is steadily rising.